Tharisa reports steady Q3 production

JOHANNESBURG (miningweekly.com) – Dual-listed Tharisa Minerals reported that its mining operations produced a steady third quarter with 1.24-million tonnes of reef mined, contributing to the current run-of-mine levels ahead of the processing plants at the planned level of 200 000 t.

Tharisa maintained its platinum group metals (PGMs) production while growing its specialty-grade chrome concentrate output.

The company’s Voyager Plant chrome processing circuit was modified in the first half of the year to facilitate increased production of higher-value specialty grade chrome concentrates on the back of prevailing depressed metallurgical-grade chrome concentrate prices. 

PGMs production totalled 33 500 oz, with PGM recoveries at 68.5%.

“This quarter’s production is further evidence that Tharisa has evolved from a development asset to a stable producer; its continued solid mining and processing performance positions it for a  year of record delivery into an improving commodities market,” said CEO Phoevos Pouroulis.

He added that the company would focus on improving its operations and delivering profitable production, targeting year-end guidance of 129 400 oz of PGMs and 1.25-million tonnes of chrome concentrate.

Total chrome concentrate production for the third quarter was 307 100 t at a recovery rate of 61.6%. Of that production, 81 500 t was specialty-grade material, which generated a pricing premium to metallurgical-grade products.

Tharisa was on track to achieve its targeted recoveries of 70% for PGMs and 65% for chrome.

Meanwhile, the average PGM basket price for the three months ended June 2016 of $745/oz showed a $60/oz improvement on the $685 price achieved in the second quarter.

This 9% price increase also translated into an increase in the rand basket price, despite the marginal strengthening of the rand against the dollar.

The average PGMs basket price for the quarter was R11 164/oz, compared with R10 849/oz in the preceding quarter.